The beginning and ending balances in Bay Inc's Deferred Tax Liability were $28,000, and $37,000 respectively. Net income is $7,000. What adjustment should be made to Net Income under the indirect method?

Group of answer choices

No adjustment should be made, as deferred tax liability is a non-current liability account.

No adjustment should be made as deferred tax liability is not related to an operating activity.

Add $9,000 to Net Income

Subtract $9,000 from Net Income